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sergso

Trading Methods

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I'm new to trading and I have started reading books and forum posts. What do you think are the most popular methods intraday and swing traders use? For example, moving averages, oscillators, patterns, tape reading, custom algos, etc.|?

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  sergso said:
I'm new to trading and I have started reading books and forum posts. What do you think are the most popular methods intraday and swing traders use? For example, moving averages, oscillators, patterns, tape reading, custom algos, etc.|?

 

Try to keep your charts as clean as you can ...i used to fancy so many indicators on my charts bt now i only use MA's and look at the S/R levels ...nothing else...

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I agree with Mr. henryduncan12.

 

IMO, Moving averages and oscillators are the best trading methods for intraday and swing traders.

 

 

 

  sergso said:
I'm new to trading and I have started reading books and forum posts. What do you think are the most popular methods intraday and swing traders use? For example, moving averages, oscillators, patterns, tape reading, custom algos, etc.|?

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One other trading method that i am using and it makes me some money is moving averages crossover. Indicators: (multiple of 7) 7 SMA, 14 SMA, 21 SMA.

 

Entry rules: When 7 SMA goes through 14 and continues through 21, BUY/SELL in the direction of 7 SMA once price gets through 21 SMA.

 

Exit rules: exit when 7 SMA goes back and touches 21 SMA.

It can produce very good results during strong market moves, the system also can be easily programmed and traded automatically.

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I prefer intraday, because I feel getting the results instantly at that moment. I combine between scalping and martingale. I don't like swing, because I can not wait for the results for long time. Although swing results greater than the intraday, but floating (minus) can also be larger.

So I prefer intraday trading:haha:

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Thank you guys. I am close to quitting trading because I cannot seem to be able to find any methods that work satisfactorily for my purposes. I tried trading ETFs mainly and after two years I'm 23% down in my account and I find no point continuing. Maybe markets have changed significantly since the methods were developed. By the way yesterday I saw a post in one of the many blogs I follow about a system that was designed by a computer for SPY and outperformed the market after that but on top of that it worked well for about a dozen other ETFs. Is this possible? Is it a scam of some kind? Do you think it is possible for computers to design systems better than humans?

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Finding a method that works is not going to be easy, as that requires backtesting a lot tof backtesting.

 

If you are not profitable, you will need at least a year of hard work to get something going, and that means lots of hours whitout making a trade, even then you will have to start small, or else you will risk losing money when your mind gets in the way of your system.

 

You will find several different approaches here in TL if you are still interested.

 

DO NOT TRY SHORTCUTS, YOU WILL ONLY LOSE MONEY, PERIOD.

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  sergso said:
Thank you guys. I am close to quitting trading because I cannot seem to be able to find any methods that work satisfactorily for my purposes. I tried trading ETFs mainly and after two years I'm 23% down in my account and I find no point continuing. Maybe markets have changed significantly since the methods were developed. By the way yesterday I saw a post in one of the many blogs I follow about a system that was designed by a computer for SPY and outperformed the market after that but on top of that it worked well for about a dozen other ETFs. Is this possible? Is it a scam of some kind? Do you think it is possible for computers to design systems better than humans?

 

You're failing because you're looking to adopt somebody else's method. If you follow a method that is not your own without making the effort to understand why price moves in one direction or another, you won't last long.

 

As for indicators, there's a very great difference between what's popular and what's effective. Most traders who claim success with indicators are just lucky, and that luck will eventually run out. It always does.

 

Instead of wasting your time looking for a method or a system or whatever, learn how the auction market works. Then you'll be able to create a method of your own, one that you can trust.

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  DbPhoenix said:
Instead of wasting your time looking for a method or a system or whatever, learn how the auction market works. Then you'll be able to create a method of your own, one that you can trust.

 

But are the rules fixed or they are always ahead of what you already know?

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  sergso said:
But are the rules fixed or they are always ahead of what you already know?

 

Depends on what you mean by "rules". If you're talking about the rules that you've developed in the creation of your system, that's up to you. In order to succeed at trading, you must have an edge. Your edge begins with the knowledge you gain through your research and testing that a particular price pattern or market behavior offers a level of predictability and a risk to reward ratio that provides a consistently profitable outcome over time. Without it, one is just "playing" the market in order to have something to talk about on message boards. To get it, you have to know exactly what you're looking for and what to do with it once you've found it.

 

None of this happens when you use somebody else's method or system unless you research and test it so thoroughly that it becomes your own. If you don't want to do that, then you really ought to save yourself the money and the grief and find some other way of supplementing your income. Otherwise, instead of supplementing your income, you'll drain away what you already have.

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